As a business owner or CEO, you want your customers to keep coming back. While delivering value with your services and products is an important step, sometimes something is missing.
It is during your aggressive customer care campaign where you need to step up your efforts. You need to exhaust every avenue to deliver more of what your customers want.
This can mean reducing payment friction. Your customer care campaign can also take the form of discounts. Both can be effective, but by adding other options that can improve your customer’s purchasing power, you can attract more customers and retain the ones you have.
Across Europe, vouchers and passes are making a huge comeback. Companies left and right are leveraging these technologies with the thrifty consumer in mind.
If you wish to take your customer care to the next level, you will have to add vouchers to your payment plans. As well, you will need a credit storage infrastructure that supports your voucher payment alternative.
Read on to learn more about how to leverage vouchers and credit storage!
What are vouchers again?
Vouchers as digital tender is not a new concept. Companies such as Sodexo have been offering vouchers and alternative payment products for years.
The way vouchers are used these days has not changed. They are documents that allow holders to redeem things within a transaction. In common day parlance, these redeemables can be anything from food to movie passes.
In their digital form, vouchers can even allow buyers to avail of discounts. This has been the most common application of digital vouchers in various eCommerce platforms in many parts of Asia.
Business Insider points out in an article that digital vouchers have been integral to the platform’s popularity in the Asia-Pacific region.
In most cases, vouchers are issued for promotional reasons as part of a marketing budget. In other words, every customer who uses a voucher redeems a benefit, product, or service that has already been “paid for”.
According to Investopedia, vouchers are documents that prove the approval of a transaction. In such cases, a voucher is used to allow a transaction whose payment will count towards the accounts payable of a business.
How can vouchers help a business?
For the most part, vouchers are used for one purpose — the promotion of a brand along with its products or services.
Vouchers can assist businesses by attracting reliable attention and patronage from customers. Because vouchers are deemed to be cash-saving means of tender, customers will gravitate towards its usage.
A perfect example of how vouchers can give businesses visibility is JC Penny. Despite its effect on the company’s revenues, JC Penney coupons and vouchers have caused stores to be flooded with consumers.
In detail, here are ways vouchers can benefit businesses:
Vouchers can help retain customers.
When used strategically, vouchers can be a smart way to develop brand loyalty among consumers. As mentioned earlier, using vouchers are a welcome way for consumers to purchase and enjoy products and services without paying cash or credit.
Tempted by the possibility of savings, consumers will be more likely to stick to a company that offers vouchers. Another benefit of vouchers to consumers is that it removes the guesswork of deciding what to give as gifts. This is because, in most cases, vouchers are transferable.
Either way, vouchers can help your business retain customers.
Vouchers can draw eyes towards a particular product or service.
Other than directing attention to an entire brand or company, you can also promote a product or service. You can achieve this by using vouchers for a specific product.
By issuing vouchers for particular products, you can balance out the number of people who patronize your products. This is especially useful if you want people to take notice of a product you have just released or one that needs a boost in sales.
You will be able to improve traffic to other branches of your business.
If not a particular product or service, you can also promote a specific branch. This is especially the case for larger businesses that have scaled to the point of having multiple stores in Europe.
Driving traffic to other branches can improve brand visibility in a locality. As well, it can help balance out your store-to-store revenues over time.
You can do this by giving out vouchers that allow redemption in certain outlets or branches of your business.
You may entice more employees to join your company.
Vouchers do not need to be limited to your customers. You can also give these out to some of your staff. It may not lead to much revenue. However, doing this can improve the collaborative atmosphere of your staff as well as attract new talent.
Vouchers can be incentives to people joining your company. For example, Sodexo is a voucher and coupon company that markets to companies that offer lunch passes that easily link to banks. Also, the main clientele of the Luxembourg-based company consists of businesses that give vouchers to their employees.
The importance of a digital credit storage infrastructure
Recording voucher-based transactions will require an extensive means of recording credit details. After all, as mentioned earlier, vouchers are tender that authorize customers to redeem products. At the end of the day, goods and services need to be accounted for.
This is where a credit storage infrastructure comes in. A credit storage infrastructure is a database that records voucher usage in real-time. This allows transactions to flow smoothly even without the actual exchange of money.
Digital credit storage is the perfect companion to your vouchers, for the above-mentioned reason. However, such an infrastructure is not easy to set up even with the assistance of banks. As well, legislation in Europe lays out policies for credit storage and who can be accountable in the event of a data security breach.
You will need the help of a development partner that offers a collaborative and transparent payment solution.
Payconiq offers businesses credit storage and voucher support solutions
Payconiq can provide your business with a credit storage infrastructure that supports your vouchers. Payconiq’s credit storage and voucher support are available to most banks in the BeNeLux area. Our Fintech company has experience in delivering this type of support and other value-added services has led to easy payment experiences for merchants and consumers.
Take your payments and voucher transactions to the next level with a payment solution that is:
Choose Payconiq for payment solutions that help your business thrive in Europe!